The price of Bitcoin has doubled since the start of the year in signs of a resurgence of investor confidence in the cryptocurrency after its value tumbled last year.
Bitcoin rose more than 3% today to touch the $34,500 mark. It is up 29% in the past month and up 104% since January, though it remains well down on the $64,400 peak it hit in November 2021. Ethereum has also seen a bounce-back, with its price up 13% in the past month and 49% since the start of the year.
A combination of economic and regulatory factors are thought to be behind the lift in investor confidence.
Simon Peters, analyst at trading and investment platform eToro, said: “The key driver for this positive price move is the rumoured news around a spot ETF approval last Monday. Although this proved to be ‘fake news’ it was perhaps a preview or a taster of what is to come should a US based spot bitcoin ETF be approved.”
